I am guessing this is you:
http://www.realvnc.com/pipermail/vnc...st/040393.html
[...]
/root/.vnc/xstartup: !/bin/sh: No such file or directory
sh: /lib/cpp: No such file or directory
xset: bad font path element (#37), possible causes are:
Directory does not exist or has wrong permissions
Directory missing fonts.dir
Incorrect font server address or syntax
[...]
This message tells me that the file /root/.vnc/xstartup doesn't exist. If it does, do chown root:root /root/.vnc/xstartup and make sure you own it. Not sure of rights needed on it but I would guess 722 would do it.
I was hoping I could find you an answer. I have not ever had that problem on any distro. I know you have to log in least once and start vncserver from command line to build required dirs and files and configure passwords.
Please let us know what happens and what the problem was.